It’s February which is also commonly known as the month of love because of Valentine’s Day! It’s also the shortest month of the year. Some people look forward to this month while others loathe it. Either way, the same goes true when you’re trying to figure out if you should move or not.
Most apartment leases end between March – June, which forces a lot of renters to face up to the grim reality of either renewing their apartment lease or taking the leap to buy their own home. Some people look forward to taking advantage of new opportunities like down payment programs that will help them keep their cash in their pockets or using their tax refund to pay for their down payment of their new home. Some people get nervous because they worry about if their job is secure, whether to put their tax return into a savings account (which doesn’t really provide any financial growth but it serves more as a security blanket) or would rather spend the money on a vacation, new car or shopping spree.
Whether you continue making your landlord a richer man or decide to take the leap of owning your own condo, townhouse or house; YOU are making a decision. It honestly drives me crazy to see people renting someone’s condo for $400-$600 more than what their mortgage payment on the SAME condo in the SAME building would cost them. My logic would be, buy the condo, live in it and if anything happens that you need to move, then YOU rent it out for a top rental price and YOU increase your financial situation.
Some people get excited about the house hunting process. To have the opportunity to walk through homes that they could afford and be able to buy it is a very exciting time. Other people dread the fact that it’s a seller’s market so they can’t negotiate REALLY low and will most likely get into a bidding war with other buyers. My suggestion is to look at homes that are at least $25,000 less than your pre-approval amount so that you have plenty of room to bid to win the home of your dreams. For example, if you’re pre-approved for $300,000, then look at homes that are $275,000 so you have plenty of room on your loan. Also, remember that your pre-approval is based on your affordability so you can’t go wrong. *Note: Remember that property taxes are a major factor in your pre-approval so check with your loan officer to find out the amount of taxes they used for your pre-approval.
Let’s all enjoy this new month and remember to do whatever we decide that it positions us towards the life we want to live.
Written By: Shena Omotola, Dream Home Specialist & Broker Owner of Skyward Realty – Skyward Realty services Chicago, Suburbs, and Northwest Indiana
P.S. Feel free to email me any questions. I’m always here to help. Shena@SkywardRealty.com